Standard & Poor's Ratings Services has lowered its long-term sovereign credit rating on the Republic of Ireland to 'AA+' from 'AAA.'
At the same time, the 'A-1+' short-term rating on the Republic was affirmed. The rating outlook is negative, which means further cuts in the near term are likely.
The downgrade reflects S&P's view that the deterioration of Ireland's public finances will require a number of years of sustained effort to repair, on a scale greater than factored into the government's current plans.